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ADT (ADT) Outpaces Stock Market Gains: What You Should Know
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ADT (ADT - Free Report) closed at $8.56 in the latest trading session, marking a +1.66% move from the prior day. The stock outpaced the S&P 500's daily gain of 1.29%. At the same time, the Dow added 0.78%, and the tech-heavy Nasdaq lost 4.94%.
Heading into today, shares of the home security company had lost 10.52% over the past month, lagging the Industrial Products sector's gain of 4.52% and the S&P 500's gain of 5.64% in that time.
Investors will be hoping for strength from ADT as it approaches its next earnings release. The company is expected to report EPS of $0.21, up 800% from the prior-year quarter. Meanwhile, our latest consensus estimate is calling for revenue of $1.59 billion, up 15.3% from the prior-year quarter.
Any recent changes to analyst estimates for ADT should also be noted by investors. Recent revisions tend to reflect the latest near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate remained stagnant. ADT is currently sporting a Zacks Rank of #2 (Buy).
Looking at its valuation, ADT is holding a Forward P/E ratio of 10.8. For comparison, its industry has an average Forward P/E of 19.74, which means ADT is trading at a discount to the group.
The Security and Safety Services industry is part of the Industrial Products sector. This group has a Zacks Industry Rank of 167, putting it in the bottom 34% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
To follow ADT in the coming trading sessions, be sure to utilize Zacks.com.
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ADT (ADT) Outpaces Stock Market Gains: What You Should Know
ADT (ADT - Free Report) closed at $8.56 in the latest trading session, marking a +1.66% move from the prior day. The stock outpaced the S&P 500's daily gain of 1.29%. At the same time, the Dow added 0.78%, and the tech-heavy Nasdaq lost 4.94%.
Heading into today, shares of the home security company had lost 10.52% over the past month, lagging the Industrial Products sector's gain of 4.52% and the S&P 500's gain of 5.64% in that time.
Investors will be hoping for strength from ADT as it approaches its next earnings release. The company is expected to report EPS of $0.21, up 800% from the prior-year quarter. Meanwhile, our latest consensus estimate is calling for revenue of $1.59 billion, up 15.3% from the prior-year quarter.
Any recent changes to analyst estimates for ADT should also be noted by investors. Recent revisions tend to reflect the latest near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Research indicates that these estimate revisions are directly correlated with near-term share price momentum. To benefit from this, we have developed the Zacks Rank, a proprietary model which takes these estimate changes into account and provides an actionable rating system.
The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. Over the past month, the Zacks Consensus EPS estimate remained stagnant. ADT is currently sporting a Zacks Rank of #2 (Buy).
Looking at its valuation, ADT is holding a Forward P/E ratio of 10.8. For comparison, its industry has an average Forward P/E of 19.74, which means ADT is trading at a discount to the group.
The Security and Safety Services industry is part of the Industrial Products sector. This group has a Zacks Industry Rank of 167, putting it in the bottom 34% of all 250+ industries.
The Zacks Industry Rank includes is listed in order from best to worst in terms of the average Zacks Rank of the individual companies within each of these sectors. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
To follow ADT in the coming trading sessions, be sure to utilize Zacks.com.